Stored-value card management method and system

ABSTRACT

A computerized system for activating, issuing and otherwise managing transactions and activities pertaining to stored-value cards over a communications network. A central information database is provided for storing stored-value cardholder and card purchaser information received directly from respective stored-value cardholders and card purchasers PCs through a universal central processor via respective communication gateways. The central processor is coupled for communication realtime to multiple unaffiliated stored-value card processing networks normally operated by respective hosts. Each network includes a stored-value card processor coupled to a stored-value card database and multiple respective merchant communication devices. The central processor is programmed for managing the activation and issuance of transactions and activities for the stored-value card through the respective unaffiliated networks. The universal central processor is programmed to issue the stored-value cards directly to the cardholder or card purchaser by download over respective communication gateways. The universal central processor is further programmed for reporting the card activations, issuances, transactions and activities to the cardholders and the merchants thereby providing a universal management system.

CROSS-REFERENCE TO RELATED APPLICATIONS

This application is a continuation application of, and claims priorityto, U.S. patent application Ser. No. 14/627,764 filed on Feb. 20, 2015,which is a continuation application of U.S. patent application Ser. No.14/144,291 filed on Dec. 30, 2013, now U.S. Pat. No. 8,998,081, which isa continuation application of U.S. patent application Ser. No.13/833,920 filed on Mar. 15, 2013, now U.S. Pat. No. 8,622,291, which isa continuation application of U.S. patent application Ser. No.13/588,052 filed Aug. 17, 2012, which is a continuation application ofU.S. patent application Ser. No. 12/284,194, filed Sep. 19, 2008, nowU.S. Pat. No. 8,245,910 which claims the benefit of U.S. ProvisionalPatent Application No. 60/994,509, filed Sep. 20, 2007, for STORED-VALUECARD MANAGEMENT SYSTEM, the contents of which are incorporated herein byreference.

BACKGROUND

The present invention relates generally to stored-value cards used forpurchasing goods and services, and more particularly to a computerizedmethod and system for activating, issuing and otherwise managingtransactions and activities pertaining to stored-value cards over acommunications network.

Examples of stored-value cards are prepaid cards, gift cards, rewardscards and the like. Each stored-value card transaction and activity ismanaged through its respective card processing network. Each suchnetwork typically includes a stored-value card processor coupled to astored-value card database and to multiple respective merchantcommunication interface devices, such as point-of-sale (POS) terminalsor communication gateways, such as an Internet gateway. These respectivestored-value card processing networks are unaffiliated and they areoperated through different stored-value card processor systems operatedby different respective hosts, such as Chase Paymentech™, RBS WorldPay™,Radiant/Aloa™, Future POS™, or any of a number of other stored-valuecard processor hosts.

There exists a large number of patent applications and patentspertaining to how these respective stored-value card processing networksshould process activities and transactions. An example of one suchnetwork is disclosed in U.S. Pat. No. 7,083,084.

SUMMARY OF THE INVENTION

It is a principal object of the present invention to provide a universalmethod and system for managing these multiple unaffiliated stored-valuecard processing networks.

The present invention provides a method and apparatus for managingstored-value cards, such as gift, prepaid and rewards card activity formultiple locations or unaffiliated group entities or networks. Most ofthese transactions and activities are accomplished through realtime datacommunications with these different unaffiliated stored-value cardprocessors through a universal central processor, which enables unlikemake and model credit card terminals and point-of-sale systems to beconsolidated into a universal reporting system for stored-valuecardholder transactions and activities.

The method and system of the present invention activates, issues andotherwise manages transactions and activities pertaining to multiple ormany unaffiliated stored-value card processing networks. As previouslyexplained, each such existing stored-value card processing networkgenerally includes a stored-value card processor connected to astored-value card database and multiple respective merchantcommunication interface devices, such as POS terminals, computers orother communication gateways, for communication by the respectivemerchants with the processors.

The present invention provides universal management of theseunaffiliated systems by providing a universal central processor thatcommunicates with a universal stored-value card cardholder informationdatabase which is managed by this universal central processor. Thisuniversal central processor also communicates with potential or existingstored-value cardholders or holder benefactors (card purchasers), andfurther communicates in realtime (with the exception of reportingtransactions and activities in some instances) with the multiplerespective unaffiliated stored-value processing networks. Accordingly,all activation and issuance of and selected transactions and activitiesfor the stored-value cards are managed by the universal centralprocessor through the unaffiliated networks.

The universal central processor is programmed for activating and issuingstored-value cards through the unaffiliated stored-value cardprocessors, which are owned by different hosts, directly to thecardholders or holder benefactors PC via a communication gateway. Uponactivation of a stored-value card through the universal centralprocessor, the universal central processor issues an authorizationnumber for each respective card and issues the stored-value carddirectly to the cardholder or card purchaser through a communicationgateway or an Internet gateway, the card being downloaded and printed bythe cardholder or card purchaser on a PC. The universal centralprocessor is further programmed for managing stored-value cardtransactions and activities through the different unaffiliatedstored-value card processors and then reports the activations,transactions and activities to the respective merchants and cardholders.Thus a universal system is provided for management of stored-value cardactivation, issuance and management of transactions and activities forunaffiliated host networks, all over a communications network.

The method and system of the present invention permits immediateelectronic sale and issuance of a stored-value card based authorizationnumber from a central universal processing system, the redemption ofwhich is done through credit card terminals, point-of-sale systems orgateways which are used for secure control of funds availability.

Thus, no matter what unaffiliated stored-value card is being issued, theissuance thereof can be universally accomplished over a communicationgateway connection by the universal central processor directly to thecardholder or the card purchaser. The universal central processor linksall stored-value card transactions and activities accomplished throughone of the unaffiliated networks directly to an individual cardholderidentified in the central cardholder information database and all suchcard activations, issuances, transactions and activities are reported bythe universal central processor to the cardholders and the merchants.

BRIEF DESCRIPTION OF THE DRAWINGS

Other objects and advantages appear hereinafter in the followingdescription and claims. The accompanying drawings show, for the purposeof exemplification, without limiting the scope of the present inventionor the appended claims, certain practical embodiments of the presentinvention wherein:

FIG. 1 is a schematic block diagram illustrating how existingunaffiliated stored-value card processing networks function or operate;and

FIG. 2 is a schematic block diagram illustrating the computerized methodand system of the present invention for universally managing themultiple unaffiliated stored-value card processing networks illustratedin FIG. 1.

DETAILED DESCRIPTION

Multiple unaffiliated stored-value card processing networks are utilizedas illustrated in FIG. 1 for the management of stored-value cardtransactions and activities for respective different stored-value cardhosts. These separate and unaffiliated networks N1 through Nn areindependently operated and managed by respective host stored-value cardprocessors P1 through Pn, each stored-value card processors P1 throughPn being connected to a respective stored-value card database DB1through DBn. The respective merchants communicate through communicationinterface devices M1 through Mn with the respective processors P1through Pn for respectively handling stored-value card transactions andactivities.

The merchant communication interface devices M1 through Mn might consisttypically of, for example, a point-of-sale (POS) system or terminal or amore sophisticated communication system, such as a communicationgateway, via PCs and handheld computers. A significant number of patentsand patent applications exist regarding to how these networks N1 throughNn process the card activities and transactions and each respectivenetwork N1 through Nn is independently operated by a differentunaffiliated host. For example, processors P1 through Pn are operatedand maintained by different hosts, such as Future POS™, Radiant/Aloha™,Chase Paymentech™ and RBS WorldPay™.

The respective stored-value cards are normally issued to the cardholderby the respective merchant. Typical stored-value cards are gift cards,rewards cards, rebate cards, and other prepaid cards, such as forgasoline, telephone use etc.

These independent unaffiliated networks N1 through Nn, beingindependently operated, actually results in limited capability for allparties concerned, including the cardholder, the card benefactor orpurchaser, the merchant and the host bank.

The stored-value card management system of the present inventionprovides universal management of gift, prepaid, and rewards cardactivity for all of these multiple location or unaffiliated groupentities or networks N1 through Nn. Under the method and system of thepresent invention, realtime data communications of a universal centralprocessor with the stored-value card networks N1 through Nn, unlike makeand model credit card terminals and point-of-sale systems, providesconsolidation into a universal reporting system of cardholder activity.The system also permits immediate electronic sale and issuance of astored-value card-based authorization number and a corresponding cardfrom a universal central processing system. The redemption of the cardsis done through a credit card terminal, point-of-sale system, or otherdevices, such as a telephone or computer, capable of serving as acommunication interface with the universal central processing system, ora gateway to the central processing system.

The method and system of the present invention thus permits the giftcard or other stored-value cards, to be downloaded on a PC by thepurchaser with immediate electronic sale and issuance of a stored-valuecard authorization number from a central universal processing system.The redemption of the issued cards is done through a credit cardterminal, a point-of-sale system or gateway which is used for securecontrol of funds availability.

Referring to FIG. 2, a universal central processor 10 is provided whichoverlooks and oversees the management of the many different unaffiliatednetworks N1 through Nn. Networks N1 through N4 only are illustrated forthe sake of clarity and simplicity. The universal central processor 10is connected to or communicates realtime with a universal stored-valuecardholder information database 11 managed by the universal centralprocessor 10. The universal central processor 10 in turn communicatesrealtime (except for some activity reporting purposes) with potential orexisting stored-value cardholders or holder benefactors or purchasersvia the communication or Internet gateways (PCs) 12 a through 12 d.

Universal central processor 10 is programmed for activating and issuingstored-value cards through the unaffiliated stored-value card processorsP1 through P4 directly to the 12 a cardholders or cardholder benefactorsor purchasers via the communication gateways 12 a through 12 d.Universal central processor 10 is further programmed for managing thestored-value card transactions and activities through the stored-valuecard processors P1 through P4 and for reporting the activations,transactions and activities to respective merchants and cardholdersthrough gateways M1 through M4 and 12 a through 12 d. Accordingly, theuniversal central processor associates all such transactions andactivities directly with an individual cardholder identified in theinformation database 11. Such transactions include transactions, such aspurchases, rewards, redemptions and placement of funds, and suchactivities include information for the cardholder and the merchantpertaining to balances and placement of funds, which activities are notalways reported realtime.

The potential cardholder or card purchaser can log into the universalcentral processor 10 via a communication gateway 12 a through 12 d andregister their card by entering some personal information, such as name,telephone number, address, e-mail address etc. Once registered in theinformation database 11 of the universal central processor 10, withpayment being made and accepted through a credit card, an identificationnumber is issued by the universal central processor 10 and thecardholder or cardholder benefactor can download the stored-value cardon his or her respective gateway communication device 12 a through 12 d.Once the card has been issued, the cardholder may request a cardbalance, add funds to the stored-value card via a credit card or requestother related information from the universal central processor, and therespective merchants and host processors are notified by the universalcentral processor 10 of the activation and issuance of the card viatheir respective communication gateways M1 through M4 and processors P1through P4. The merchants through their respective communicationgateways M1 through M4 can interact with the respective stored-valueprocessors P1 through P4 through the universal central processor 10. Themerchant can also add bonus funds to a card for purchases made.

Accordingly, the system of the present invention can produce amerchant-specific gift card on the Internet that can be printed by thecustomer or e-mailed to the gift recipient. Because the card is, in asense, created by the purchaser, any amount can be placed on the card.In addition, the purchaser can choose a holiday occasion for the giftcard and can add a personal message that is incorporated on or in thecard.

Security for the issued card resides in the fact that it is astored-value card and only the funds or partial funds left on the cardcan be redeemed. The recipient's name and Card Verification Valuednumber may also be placed on the card for future merchant security.

In addition, the system of the present invention can be employed in awide variety of marketing programs. Newsletters, new productannouncements, and seasonal specials can all be sent to customersthrough a mass e-mail system operated by the universal central processor10. Other customer alerts, such as the creation of gift card rewards canalso travel to the customer via this e-mail system. The system also maybe provided with built-in tracking functions to help in marketinganalysis.

The system and method of the present invention permit increase in profitfor the merchant by providing a 24 hour a day, 7 day a week saleslocation over the Internet. Extreme conveniences are provided by beingable to obtain a gift card or other stored-value card by immediatedownload which is ready for immediate use.

We claim:
 1. A computerized method for real-time activating and issuingof stored-value cards over a communications network, the methodcomprising: receiving, by a central processor specifically programmedfor activating and issuing stored-value cards from a plurality ofunaffiliated stored-value card processing networks directly tocardholders or cardholder benefactors, a stored-value card purchasingrequest via a respective communication gateway, and in response toreceiving the request; communicating in real-time, by the centralprocessor, with an unaffiliated stored-value card processing network,such network including a stored-value card processor coupled to astored-value card database and multiple respective merchantcommunication devices; communicating in real-time, by the centralprocessor, with a potential or existing stored-value cardholder or cardpurchaser regarding a stored-value card, via a communication gateway,wherein communication gateway does not comprise the unaffiliatedstored-value card processing network; activating and issuing the storedvalue card through the central processor; and managing a stored-valuecard transaction through said unaffiliated stored-value card processingnetwork by said central processor.
 2. The computerized method of claim1, wherein the issuing of the stored-value card is by the unaffiliatedstored-value card processing network over the communication gatewayconnection with said central processor directly to said cardholder orcard purchaser.
 3. The computerized method of claim 1, wherein saidmanaging includes storing individual cardholder information in a centralinformation database and directly associating each stored-value cardtransaction and activity accomplished through said network by saidcentral processor with an individual cardholder identified in saidcentral information database.
 4. The computerized method of claim 1,wherein said managing includes reporting the card activation, issuances,transactions or activities by said central processor to the cardholderand the merchant.
 5. The computerized method of claim 1, whereincommunicating in real-time with the potential or existing stored-valuecardholder or card purchaser includes issuing an authorization number bysaid central processor related to a card purchase.
 6. The computerizedmethod of claim 1, wherein the stored-value card contains a cardverification valued (CVV) number.
 7. A method of universally managingmultiple unaffiliated stored-value card processing networks, eachnetwork including a stored-value card processor connected to astored-value card database, and multiple respective merchantcommunication interface devices for communication by respectivemerchants with said processors, said method comprising: providing auniversal central processor and communicating by said universal centralprocessor with a universal stored-value card cardholder informationdatabase managed by said universal central processor; communicating bysaid universal central processor with potential or existing stored-valuecardholders or holder benefactors through communication gateways,wherein the communications gateways do not comprise the multipleunaffiliated stored-value card processing networks; communicating bysaid universal central processor with said stored-value card processingnetworks; programming said universal central processor for communicatingwith said unaffiliated stored-value card processors for electronicallyactivating and issuing stored-value cards to said cardholders or holderbenefactors through the central processor, and further programming saiduniversal central processor for managing stored-value card transactionsthrough said stored-value card processors.
 8. The method of claim 7,further programming said universal central processor for associatingeach of said transactions directly with an individual cardholderidentified in said information database.
 9. The method of claim 7,further programming said universal central processor for sending bonusfunds to a card for purchases made.
 10. The method of claim 7, furtherprogramming said universal central processor for electronically sendingoffers and advertisements to cardholders.
 11. The method of claim 7,further programming said universal central processor for creating giftcard rewards and electronically sending such rewards to cardholders. 12.The method of claim 7, wherein the stored-value cards contain a cardverification valued (CVV) number.
 13. A computerized system forelectronically providing stored-value cards over a communicationsnetwork, the system comprising: a central information database forstoring stored-value cardholder information; a central processor forreceiving card purchasing requests from respective stored-value cardholders or card purchasers, said central processor coupled forcommunication to multiple unaffiliated stored-value card processingnetworks, each network including a stored-value card processor coupledto a stored value card database and multiple respective merchantcommunication devices, said central processor programmed in response toa card purchaser request for communicating with a respective processorto electronically activate and issue a stored-value card through thecentral processor, wherein said card purchaser request is received via acommunication gateway which does not comprise the multiple unaffiliatedstored-value card processing networks, and said central processorprogrammed for managing transactions originated by the cardholder orcard processor for the stored-value cards through said unaffiliatednetworks.
 14. The computerized system of claim 13, wherein said centralprocessor is programmed to associate each stored-value card transactionaccomplished through one of said networks with an individual cardholderidentified in said central information database.
 15. The computerizedsystem of claim 13, wherein said central processor is programmed forreporting the card activations, issuances, transactions and activitiesto the cardholders and the merchants.
 16. The computerized system ofclaim 13, wherein said central processor is programmed to issue anauthorization number in response to receiving a card purchasing request.17. The computerized system of claim 13, said stored-value cardsincluding gift cards, prepaid cards and reward cards.
 18. Thecomputerized system of claim 13, wherein said merchant communicationinterface devices include a point-of-sale (POS) terminal.
 19. Thecomputerized system of claim 13, wherein the stored-value card iscommunicated to the cardholder with a card verification valued (CVV)number.